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Victims in Ponzi scheme to receive $2.75 M

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From Post staff reports

Victims of a Ponzi scheme will receive $2.75 million from two men ordered by a Federal judge to pay the amount.

The two men, Brian Cook and Gregory Schneider of Middle Tennessee, were sued two years ago in U.S. District Court in Nashville. During a trial that lasted three days this past week, Cook and Schneider were accused of defrauding eight people throughout the U.S. as they talked them into investing in a video game business that was located in Lebanon.

The lawsuit said the victims were told by the two that the funds would be used by a company called Shipping Solutions Inc. to buy video games at a lesser amount and after the games were sold the investors would receive a return each month on their investment checks. In addition, the two men were also accused of using a number of so-called shell companies to move around the funds.

Cook and Schneider were accused of using the money to finance luxuries for themselves and to invest in foreign exchange markets. Early investors received returns from monies later taken in from additional investors.

The investors reportedly lost a total of $916,000.

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